CBP Posts Updated CEE FAQs

U.S. Customs and Border Protection (CBP) posted an updated listed of frequently asked questions on the Centers of Excellence and Expertise. CBP officials said during the May 22, 2012 COAC meeting another update is expected shortly. The questions and answers are:

How do I sign up?

The Centers of Excellence and Expertise (Centers) will address an entire industry, and provide a single point of contact for questions or concerns related to that industry. This will enable our trade personnel to specialize in a key industry, building advanced knowledge in the intricacies of particular business practices, processes and products. The Centers also will serve as a ready source of clear and definitive information for our trade and government partners on CBP requirements and best practices. In this way the Centers are available to all importers within the industry.

As the Centers expand, they will provide “one-stop” processing for importers in a particular industry, processing entry summaries and subsequent activities (e.g., post-entry amendments, protests). To receive centralized processing benefits at the Center you will be asked to volunteer. Priority consideration will be given to importers enrolled in the Customs-Trader Partnership Against Terrorism (C-TPAT) and Importer Self Assessment (ISA) programs. CBP will issue a Federal Register Notice detailing the process, eligibility requirements, and selection criteria for participation in the Center.

I import products that could be considered part of multiple industries. Will I have to participate in more than one Center?

No. The Centers are industry focused, but account based. You will have the opportunity to volunteer for the Center that best fits your business. The assigned Center will be the primary point of processing for all entries, regardless of the commodity that is entered. Centers will collaborate to resolve issues for accounts that cross industry assignments. In this way, importers can truly be managed by account.

Do I need to change where I import because of the Centers?

No. The Centers are virtual. CBP will leverage technology to bring the work to the Centers, regardless of where the entry occurs. Importers should continue to use the ports of entry that best meet their individual business needs.

What affect will the Centers have on how CBP processes my shipment?

The process flow for entry and entry summary will not change. The location of CBP processing for post-release aspects of shipments will simply be moved from Ports of Entry (POE) to the appropriate industry Center. For example, an electronics importer may import through six ports of entry, with post-release processing being done at each location. Once the Centers are fully staffed and have necessary trade functionality, such processing will be handled by one Center, leading to greater consistency and predictability for importers.

Will the Centers sponsor any kind of training?

Each Center will become an industry-focused resource for both traders and CBP personnel. The Centers will develop and foster training initiatives, for both agency personnel and members of the trade community. This will include collaborative and bi-directional training with the private sector to enhance agency understanding of the industry at large. The Centers can also serve as an important resource for small and medium-sized importers, who may not have large compliance departments.

Will large, small and medium importers all receive the same treatment if they are part of an industry covered by the Centers?

Importers of all sizes can access the Centers as a ready source of clear and definitive information on CBP requirements and best practices related to a particular industry. To receive centralized processing benefits, priority consideration will be given to importers enrolled in the Customs-Trade Partnership Against Terrorism (C-TPAT) and Importer Self Assessment (ISA) programs. CBP will issue a Federal Register Notice detailing the process, eligibility requirements, and selection criteria for participation in the Center.

How will the Centers be involved in the security aspect of cargo?

Security aspects will remain within the current organizational elements. The Centers will play an integral role in enhancing the link between security and trade functions, as they evaluate the impact of security efforts on their specific industries and accounts.

How is CBP measuring the effectiveness of existing Centers? What are they achieving in terms of facilitating trade?

In collaboration with the trade community, CBP recently completed a preliminary evaluation of the current Centers. The preliminary evaluation established baseline measures that will be used to evaluate future performance. It also included a review of operational accomplishments and a qualitative assessment by members of the Trade. The results of the evaluation were overwhelmingly positive. The current Centers have made remarkable progress toward reaching their goals. In the minds of the trade participants, the Centers are seen as “paying for themselves” in terms of the benefits they provide in one-point processing.

What lessons learned will be applied to the new Centers?

In collaboration with the Trade, each new Center will seek to identify unique facilitation opportunities for each industry, and the specific measures that are most important for the industry. Bi-directional training is key to developing the knowledge base required to effectively facilitate trade and segment risk. Additional Centers will also expand in size and scope incrementally as this has proven to be a prudent approach.

Are additional Centers planned? If so, when?

Yes. In addition to the two current Centers, CBP will create two new Centers by the end of Fiscal Year (FY) 2012. The new Centers will be the Automotive & Aerospace coordinated in Detroit, and the Petroleum, Natural Gas & Minerals coordinated in Houston. In FY 2013 CBP expects to establish five more Centers, bringing the total number to nine. CBP will collaborate closely with the Trade on placing these additional Centers, identifying facilitation opportunities, and developing strategies to address risk for each industry.

What industries will be the focus for the Centers proposed in FY 2013?

Nine Centers in all are currently contemplated. The current Centers focus on Information Technology & Consumer Electronics, and Pharmaceuticals, Health & Chemicals. The two new Centers that will be launched before the end of FY 2012 will cover Petroleum, Natural Gas & Minerals, and Automotive & Aerospace. The additional Centers that are proposed for FY 2013 are: Industrial & Manufacturing Materials; Agriculture & Prepared Products, Base Metals & Machinery; Consumer Products & Mass Merchandising; Textiles, Wearing Apparel & Footwear. CBP continues to consult with the trade community about the scope of the additional centers, their locations, and the timing of their implementation.

How will Centers work with other agencies to facilitate trade?

The Centers serve as the industry resource to the broader trade community and to CBP’s U.S. government partners, because of this they are able to effectively work with other agencies to reduce delays that can be solved by collaboration. As the Centers grow in size and scope, CBP will seek to find opportunities to integrate the Centers further into the “One U.S. Government at the Border” approach. An anticipated benefit will be the Centers ability to better inform, and significantly contribute to these efforts based on expanded knowledge of industry practices.

What role will Brokers play in the Centers?

Even though Brokers are not industry specific, they are critical to the overall success of the Centers. Brokers will continue to assist their clients in meeting import and export requirements. For post-entry activities where they would normally interact with the port, Brokers will now interact with the appropriate Center. But, CBP will rely on them to help identify processes and procedures for the Centers that can increase efficiencies and reduce costs for the Trade. The Brokers are essential partners not just for the Centers, but for all of CBP’s trade transformation efforts.